IRCTC shares may continue to climb new highs as it has given fresh breakout above ₹3000 today, say market analysts
IRCTC shares continued to rally for the second straight session on Monday with the Indian Railways' PSU hitting a new lifetime high of ₹3,040 per share in early morning deals. The Indian Railway Catering and Tourism Corporation (IRCTC) shares today surged more than 5.5 per cent hitting new lifetime high. As per the market experts, IRCTC shares may continue to climb new highs as it has given fresh breakout above ₹3000 today. They said that it may go up to ₹5,000 per stock levels in next 18 to 24 months.
Speaking on the immediate IRCTC share price target; Sumeet Bagadia, Executive Director at Choice Broking said, "The stock has given fresh breakout today at ₹3,000 levels. One can buy this Indian Railways' PSU counter for immediate to short-term target of ₹3200 to ₹3400. However, one must maintain stop loss at ₹2800 while taking this position in IRCTC shares."
Speaking on the reason for such rise in IRCTC shares; Ravi Singhal, Vice Chairman at GCL Securities said, "IRCTC share price rally is mainly because of the company's aggressive focus on its hospitality business. Market has a sense that IRCTC is trying to emerge as A to Z solution provider in hospitality business as it has been joining hands with aviation and surface transport service providers and at the same time it is tying up with hotels. It is also aggressively focusing on its food-supply business by inking deals with local food-chain players. So, IRCTC is no more going to remain just an e-ticket platform."
Santosh Meena, Head of Research at Swastika Investmart Ltd said, "IRCTC share price is in strong bullish momentum where it has gained more than 100 per cent in 2021 and crossed the psychological level of ₹3000. The correction due to Covid-19 was a great opportunity for portfolio investors to latch onto it as everyone wanted to buy it before Covid-19 at any price because of its monopoly and future growth outlook. The reopening theme is getting momentum whereas it has a tailwind of stock split news. Railways' asset monetization plan is another trigger for its re-rating. The bullish momentum may continue while ₹3070 to ₹3100 is an immediate resistance zone; above this, it is likely to head towards the ₹3300 level. If it witnesses any profit booking from the ₹3070 ₹3100 resistance zone then ₹2775 to ₹2700 will be a good buying zone."
On his view on IRCTC share price target, Ravi Singhal of GCL Securities said, "IRCTC is a portfolio stock and one should buy this counter for next 18-24 months target of ₹5,000 per equity levels."